OUR INVESTMENT FUNDS
Our Investment Funds have the mission to establish a profitable financial real estate activity under the figure of a "Real Estate Funds". This activity is autonomous and parallel to any other figure of mercantile nature.
Each interested investor places in the "Fund" an amount of money which will be used in any of the real estate modalities for the acquisition, rent and / or sale of the property, our design is to create different types of funds under Regulation D and different rules such as 504, 506b, 147, 147A and Regulation Crowdfunding for different investors, such as accredited and non-accredited, small or medium. Our funds will be exempt of SEC registration, the capital raising will be done under the SEC exemptions.
The fund is created by a company under the denomination LP., where its "shareholders" are each and every investor, this means that each investor might be an individual or a company.
As a starting point we will continue to invest in South Florida, mainly in Miami-Dade, Monroe and Broward counties. There are also excellent opportunities in Orange County (Orlando, winter garden, Lake Buena Vista, etc) in the medium term, outside the state of Florida we would research and consider other States.
Management of the Fund: The funds shall be managed by Altair Realty Investments Funds, LLC., which is affiliated with ABF Integral Consulting, Inc, along with the shareholders and each property acquired will be in the name of the "Fund" and not on behalf of any particular investor.
The funds should give special power to Altair Realty Investment Funds, LLC., to manage every one of the properties of the "fund". This company is independent of the fund and its function is to achieve the acquisition of real estate consisting of single family houses, apartments, town-homes, multi families, lands, warehouses, etc, to achieve these purchases will be used the different modalities of acquisition of properties, namely.
1- Public auction foreclosures & tax deeds, procedures that are performed by the courts and the different counties (Dade, Broward, Orange etc.) Purchases are made by ABF Integral Consulting, Inc., also known as In-Auction as a separate entity.
2- Purchase of "REO" Properties. This purchase is made directly to banks that own properties that were once auctioned in court and were not awarded to third parties.
3- Short Sale Purchase. It is an agreement between the owner of the mortgaged property and the creditor bank where it is given the opportunity to be sold at a lower price than the debt and many times lower than the market price.
4- Retail: These are common purchases of opportunity in the secondary market.
5- Acquisition of Properties in pre-construction: They are the purchases of units: they are made before its construction and availability. In this modality there is always the possibility of selling, even before the entire property is finished, since the developer always does this construction by phases.
6- Rental Income properties: This is an excellent way to achieve profits for the fund since from the moment a property is acquired, if it is rented, it begins to generate income, regardless of whether it is intended to make a resale in the short term.
6-1- Income Property for tourists: This modality is more productive in its specialty since the rent or rent of it is daily and the monthly yield is 2.5 to 3 times more than the conventional rent. For example: A property can be rented at $ 1,400 monthly, this would generate a profit of $ 1,400 each month.
But if we apply the form of income per day for tourists which would have a rate, for example, $ 120.00 per day and that has approximately 20 effective days each month, this would generate a profit of $ 2,400 per month, and in the months of Greater volume would generate approximately $ 3,600.
Conventional Rent (30 days) ..................................... $ 1,400.00
Daily Rent for Tourists (20 days) ...... Daily $ 120.00 ......... $ 2,400, .00
Daily Rent for Tourists (30 days) ...... Daily$ 120.00 ......... $ 3,600.00
7- Any other modality of purchase or rental real estate. Operating Expenses and Dividends of the "Fund"
Operating expenses: The costs of property purchases are broken down as follows:
For property purchases before the County Court (Foreclosures and Tax Deeds)
1- Fees and taxes before the county court (2.5%).
2- Property Purchase Commission (3% to 6%) to ABF Integral Consulting, Inc., lawyers and realtors.
3- Payment of condominiums arrears of the properties owe to the respective associations, if any.
4- Payment of property fixings and renovations for rent and / or sale.
5- Payment to lawyers (about $ 600.00) in case of eviction or writ of possession or any other motion to file.
6- Payment to Realtors involved in the rental of properties (1 month) or sales (3% to 6%).
For purchases made before mortgage banks: SHORT SALE and REO
1- Commission to the intervening Realtors (between 3% and 6%)
2- Arrangement of properties for your income and / or consequent sale
3- Payment of taxes for the right of ownership.
For purchases made to the developers of projects (Pre-Construction)
1- Payment of fee + tax that are in the order of 0.5 to 1% (usually this cost is assumed by the developer of the construction)
2- Payment to Florida Realtor (It is always paid by the developer of the Project) so that the "fund" would pay little or nothing.
For purchases made from third party's sellers, this commission is payable to the Florida Realtors and will always go from 3% to 6% and if it is commercial up to 10%.
Dividends: The experience of the last 5 years tells us that in each year you can do 2 to 3 purchases with the corresponding selling, this means that; with an initial capital, you buy a property and then you fix it to sell it later, then with that profit obtained is reinvested along with the capital in the purchase of the second property and so on.
In all the negotiations that we have achieved, a profit has always been obtained from at least of 10% of the money invested, as well as, on the other side of the spectrum, we have achieved profits up to 75%, being standard from a 15% to 29%.
It is suggested to make a cut-off of the activities of the fund, at least every (6) or (12) months, in order to determine the profit obtained and distribute it among the members in function of their participation in the form of percentages of investments.
After determining the profit in each applied cycle (6, 12, 18 months) the management company Altair Realty Investment Funds, LLC., will be granted for the concept of investment advice and management the amount corresponding to Five percent (30%) of profit or dividend.
To start an Investment Fund.
1- Create a company in the state of Florida under the figure of LLC, which would be composed of each of the companies, also LLC, owned by each of the investors, we do recommend to consult with your tax attorney or accountant, because Sales tax in the case of natural persons fluctuates in the order of thirty percent (30%).
2 - We register the new company before the court of Miami Dade, Broward, or any other county, which would have extensive activity to the rest of the counties of the Florida.
3- Make the minimum required deposit of 5% in the escrow account of the county court for foreclosures and tax deeds.
4- Sign the management agreement of the "fund" with ABF Integral Consulting, Inc.
IMPORTANT NOTE: For the purposes of identifying the "Fund" is meant, in principle, a group of persons represented by their companies, but, it can also be understood by a single natural person in the form of LLC with sufficient money to make 1, 2 or 3 monthly deals. In this case, it would not be necessary to deposit all the money in the fund as if it were a company with several partners.